FLASHBACK January 20, 1999-2003

OIA report challenged[/B]

Commonwealth and federal negotiators yesterday began a four-day meeting they hoped would ease strains in CNMI-US ties, promising to have an open mind in bridging differences in addressing problems on labor, immigration and customs. After two attempts to revive the stalled discussions failed last year, the Section 902 talks finally resumed at a simple rites held at the Hyatt, marked with friendly exchange of views, according to officials of both sides. The heads of both panels said they were willing to listen to each government’s concerns as they explore possible solutions to a host of problems arising from CNMI’s dependence on guest workers, whose growth over the years has worried the federal government.

The Saipan Garment Manufacturers Association yesterday brushed aside three lawsuits initiated by a New York-based law firm against the CNMI apparel industry and its U.S. buyers, saying the allegations were rehash of previous criticisms and were largely unsubstantiated. The group, comprised mostly of the island’s largest garment firms, also reiterated earlier vows to clean up the industry and to further improve working and living conditions for the thousands of foreign workers employed by the sector. In a statement, SGMA expressed confidence the court will find the claims made in the $1 billion lawsuits to be “embellished and exaggerated accounts of wage and rights abuse.”

U.S. Supreme Court upholds three-seat representation[/B]

The U.S. Supreme Court has affirmed a ruling handed down by the federal district court last year upholding the present composition of the CNMI Senate which provides three seats each for the islands of Rota, Saipan and Tinian. Government officials hailed the judgment that came Tuesday (Wednesday local time), throwing out the nearly three-year legal battle waged by Rep. Stanley T. Torres and lawyer Jeanne Rayphand. In the one-sheet order, the Supreme Court said the lower court’s ruling is affirmed and that the plaintiff has at least 25 days to petition for a rehearing. There is no immediate reaction from Torres and Rayphand or their counsel Ted Mitchell. But opposition against the lawsuit filed in 1997 welcomed the court’s decision.

Ending years of abuse on CNMI’s generous retirement benefits, Gov. Pedro P. Tenorio has signed a law to eliminate the 30 percent bonus given to early retirees in what he said is necessary to ease financial burden on the government. Public Law 11-114 cuts the costly program under the Commonwealth Early Retirement Act passed by the Legislature in 1993, effectively denying government employees hired after Dec. 15, 1999 from receiving this benefit. But the governor noted the new law will not provide an immediate resolution to the program’s financial situation sought by the NMI Retirement Fund which had been lobbying removal of such monetary reward in fear it could bankrupt the agency.

Yanyan evicts 38 persons[/B]

Some 38 persons took refuge at evacuation shelters on Saipan over the weekend, as storm Yanyan—the year’s first in the Marianas—swung by the islands. But Emergency Management Office director Rudolfo Pua said there were no reported damage to public facilities—not even on Rota. “They felt the wind and the rain but there were none [further damages] reported,” Pua said. Rota has yet to fully recover from the severe destruction caused by supertyphoon Pongsona last December. As of 1pm yesterday, Gov. Juan N. Babauta lifted the storm condition declarations for Saipan, Tinian, Rota and Agrihan, an EMO statement said.

$45.7 million. That is the amount that is needed to operate the NMI Retirement Fund for one whole year, and that is the amount that the Fund is looking for right now, as it seeks to infuse cash into its reserve account that is currently zero. Toward this end, Board chairman Joseph Reyes directed Fund administrator Karl T. Reyes and comptroller Noel Soria in last Thursday’s board meeting to come up with a feasible plan that would put money into the Fund’s reserves so it won’t be caught with its pants down come year 2020—the deadline set by the Fund’s charter for it to become self-sufficient.